Colorado · Coverage A is a rebuild number
The best dwelling limit is the one that rebuilds the house. It is not an award.
Coverage A pays to repair or rebuild the dwelling: the structure, the attached garage, and the finishes and systems that are part of the building. Land is not in that number. The sale price and the loan balance are not either. A lender’s required amount protects the loan. Colorado does not set a homeowners minimum the way it sets an auto floor. This is educational, not a limit for your address.
Hail and wind often use a deductible that is a percent of Coverage A, separate from the deductible on a fire or a burst pipe. On a $450,000 dwelling, 2 percent is $9,000. That is an example, not a quote. A roof can be settled at replacement cost or at actual cash value, and some forms exclude cosmetic hail. A new roof can change which of those you are offered. It is not a guaranteed percent off. Wildfire, if the form covers fire, is paid from Coverage A after whatever deductible the declarations name. Read whether that deductible is the all-peril one or a separate wildfire deductible. Ordinance or law, the cost to rebuild to current code, is its own limit. Debris removal is too.
Other structures are not Coverage A. They are usually Coverage B, often starting at 10 percent of the dwelling: other structures. The wildfire page: Colorado wildfire. The policy around it: Colorado homeowners. The regulator: the Division of Insurance.
